Companies are hoping to step on some firmer ground when it comes to the global COVID-19 emergency in order to define their strategies. Iberdrola, on the other hand, has it clear, planning an economic recovery and investments amounting to €10 billion.
The company has not stopped because of this crisis. On the contrary, it activated a global action plan to face the pandemic. It announced 150 measures worldwide to ensure energy reaches every customer. In addition to bolstering the service provided to hospitals and essential infrastructures.
Also, it donated €30 million worth of medical and preventive material in coordination with authorities. Similarly, it set up more convenient payment options for clients and free services for vulnerable communities.
As to the future, CEO Ignacio Galan stated “the absolute consensus is that the road to economic recovery is paved with green, with the fight against climate change guiding the way. For this, we have clear plans in Europe, with the European Green Deal, and Spain, with the PNIEC. Iberdrola is fully prepared to join this task.”
Seguimos creciendo con más #renovables, imprescindibles para una #RecuperaciónVerde ➡️ Adquirimos la compañía eólica Aalto Power para impulsar nuestra presencia en el sector de las energías limpias en Franciahttps://t.co/JdcU4i7lEw
— I b e r d r o l a (@iberdrola) May 7, 2020
Investing unprecedented amounts
The group is committing to pick up the pace of investments in order to help drive economic recovery and employment. The aim is that by late 2020 its investments will have reached € 10 billion, which would entail a substantial increase over the record figure achieved last year.
These resources will be aimed at reactivating the economy and employment, based on renewable projects and smart grids.
Iberdrola recently posted its financial results, with ordinary net profit of €968 million in the first quarter of 2020, up by 5.3% from the same period in 2019.
According to the company, the sale of its 8.07% share in Siemens Gamesa generated an income of €1.1 billion and capital gains of €484 million. Therefore, the reported net benefit, including extraordinary income, stands at €1.2 billion. This positive turn will enable to ease the negative effects of the COVID.19 crisis throughout the year.
SUMANDO las fuerzas de todos #SaldremosAdelante 👉🏽 Seguimos entregando a las FCSE y sanitarios 80 toneladas de material imprescindible por valor de 30 millones €, como mascarillas, respiradores o trajes de protección 😷🧑🏽⚕️👮🏽 #EsteVirusLoParamosUnidoshttps://t.co/507mcJDlMG pic.twitter.com/r1kKK1DFcd
— I b e r d r o l a (@iberdrola) May 6, 2020
Decarbonizing the economy
The group still expects net profits and dividends to increase. It foresees Spain will continue to commit to leading the decarbonization of the economy. In this sense, it designed a renewable energy plan to install 3,000 megawatts of wind and PV energy by 2022. Up to 2030, it plans to install 10,000 new MW. These actions will help create 20,000 jobs.
Iberdrola is the top renewable energy promoter in Spain, with a total renewable capacity of more than 16,500 MW.
Overall, its global renewable capacity stands at more than 32,300 MW, making it one of the cleanest companies in the energy sector.
For more information, check Energía16